ViaSat Awarded $8 Million in Damages in Patent Infringement and Breach of Contract Lawsuit Against Space Systems/Loral

Carlsbad, Calif. ViaSat Inc. (Nasdaq:VSAT), an innovator in satellite and other wireless networking systems and services, announced today that a federal court jury has awarded ViaSat $283 million in damages in its patent infringement and breach of contract case against Space Systems/Loral (SS/L). The jury found SS/L (1) infringed three ViaSat patents relating to its ViaSat-1 high-capacity satellite system: U.S. Patent Nos. 8,010,043, 8,068,827, and 8,107,875 and (2) breached the non-disclosure agreements and manufacturing contract between the parties. During trial, SS/L dropped its counterclaim alleging ViaSat had infringed an SS/L patent. The trial was held in the United States District Court for the Southern District of California.

We appreciate the jury's hard work and their attention to the evidence. While litigation was a last resort for us in this case, the process ultimately confirmed that ViaSat invented the groundbreaking ViaSat-1 technology and the extensive damages validate the significant value of this technology in creating high capacity satellites, said Rick Baldridge, ViaSat president and COO. We will continue our commitment to protect our intellectual property and innovation.

ViaSat has requested that the court enter a permanent injunction prohibiting SS/L from manufacturing or selling infringing satellites or satellite components, including the continued manufacturing of infringing satellites currently under construction. Additional issues remain for the court to rule upon that could ultimately impact the amount of the award, and any final ruling and award in the case is subject to appeal.

In February 2012, ViaSat served a complaint for patent infringement and breach of contract against SS/L and Loral Space & Communications related to the unauthorized use of ViaSat's intellectual property, including technology ViaSat developed for its ground breaking 100+ Gbps ViaSat-1 satellite.

ViaSat was represented by Quinn Emanuel Urquhart & Sullivan, LLP in the lawsuit.

About ViaSat

ViaSat creates satellite and other wireless networking systems that efficiently deliver the most bandwidth for fast, secure, and high-quality communications to any location for consumers, governments, enterprises, and the military. The company offers fixed and mobile satellite network services including Exede by ViaSat, which features ViaSat-1, the world's highest capacity satellite; service to more than 2,900 mobile platforms, including Yonder Ku-band mobile service; satellite broadband networking systems; and network-centric military communication systems and cybersecurity products for the U.S. and allied governments. ViaSat also offers communication system design and a number of complementary products and technologies. Based in Carlsbad, California, ViaSat employs over 3,000 people in a number of locations worldwide for technology development, customer service, and network operations.

Safe Harbor Statement

This press release contains forward-looking statements that are subject to the safe harbors created under the Securities Act of 1933 and the Securities Exchange Act of 1934. Forward-looking statements include, among others, statements that refer to the timing, receipt, and amount of any award and/or the grant of any injunctive relief in the company's lawsuit with SS/L and Loral. Readers are cautioned that actual results could differ materially from those expressed in any forward-looking statements. Factors that could cause actual results to differ include: our ability to realize the anticipated benefits of the ViaSat-2 satellite; unexpected expenses related to the satellite project; our ability to successfully implement our business plan for our broadband satellite services on our anticipated timeline or at all, including with respect to the ViaSat-2 satellite system; risks associated with the construction, launch and operation of ViaSat-2 and our other satellites, including the effect of any anomaly, operational failure or degradation in satellite performance; negative audits by the U.S. government; continued turmoil in the global business environment and economic conditions; delays in approving U.S. government budgets and cuts in government defense expenditures; our reliance on U.S. government contracts, and on a small number of contracts which account for a significant percentage of our revenues; our ability to successfully develop, introduce and sell new technologies, products and services; reduced demand for products and services as a result of continued constraints on capital spending by customers; changes in relationships with, or the financial condition of, key customers or suppliers; our reliance on a limited number of third parties to manufacture and supply our products; increased competition and other factors affecting the communications and defense industries generally; the effect of adverse regulatory changes on our ability to sell products and services; our level of indebtedness and ability to comply with applicable debt covenants; our involvement in litigation, including intellectual property claims and litigation to protect our proprietary technology; and our dependence on a limited number of key employees. In addition, please refer to the risk factors contained in our SEC filings available at www.sec.gov, including our most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. Readers are cautioned not to place undue reliance on any forward-looking statements, which speak only as of the date on which they are made. We undertake no obligation to update or revise any forward-looking statements for any reason.

Exede and Yonder are registered trademarks of ViaSat Inc.

LINK:	http://www.viasat.com/news/viasat-awarded-283-million-damages-patent-i...
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